The Skim Simpan Pendidikan Nasional, better known as SSPN, is the national education savings scheme run by the National Higher Education Fund Corporation (PTPTN). With SSPN savings, parents can put money aside for their children’s tertiary studies in a government-guaranteed, Shariah-compliant account. With the year drawing to a close, now is a good time to understand how it works.
Why SSPN Matters to Malaysian Families
Higher education is one of the biggest expenses many households will face, and saving early can reduce reliance on study loans later. For families with a child sitting SPM this year, that next step is closer than it seems. According to RTM, more than 7.3 million SSPN accounts had been opened nationwide by February 2026, with deposits of nearly RM24 billion. Here are seven things parents should know about SSPN savings, as of November 2026.
7 Things to Know About SSPN Savings
1. There Are Two Products: Prime and Plus
Simpan SSPN Prime (formerly SSPN-i, launched in 2004) is a flexible savings account. You can deposit any amount and withdraw at any time, subject to PTPTN rules. Simpan SSPN Plus combines monthly savings with a takaful (Islamic insurance) plan, combining saving and protection.
2. The 2025 Dividend Was the Highest in 11 Years
In May 2026, PTPTN declared a dividend of 4.10 per cent for 2025, up from 4.05 per cent the year before. As reported by Free Malaysia Today, the payout of about RM505.68 million went to 6.07 million account holders. Past dividends do not guarantee future rates, which are declared each year.
3. Tax Relief of Up to RM8,000 a Year
Parents or legal guardians saving for their child can claim income tax relief of up to RM8,000 a year on net SSPN savings, meaning deposits minus withdrawals in that year. Under Budget 2025, the relief was extended for Years of Assessment 2025 to 2027. Withdrawals used to pay tertiary fees do not reduce the net savings figure. Budget 2027 did not announce a further extension, so the relief currently runs until YA 2027. Deposits made by 31 December 2026 count towards YA 2026.
4. Opening an Account Is Simple
Depositors must be Malaysian citizens aged 16 and above. Beneficiaries can be the depositor, a biological child or a legally adopted child, from one day old until before the age of 29. PTPTN chairman Datuk Seri Norliza Abdul Rahim has noted that only RM20 is needed to open an account. To open a Prime account on the myPTPTN app:
- Log in to myPTPTN and go to “Perkhidmatan”.
- Select “Pembukaan Akaun Simpan SSPN Prime”.
- Fill in and check the details, then confirm the declaration.
- Make the payment and keep the receipt.
5. Prime Includes Free Basic Takaful Cover
Prime depositors aged 16 to 65 with a balance of at least RM1,000 receive free takaful protection. In the event of death or permanent total disability, the benefit matches the account balance ringgit for ringgit. There is also a death benefit of RM3,000 for the depositor and RM1,500 for the beneficiary.
6. Plus Offers Wider Protection From RM30 a Month
Simpan SSPN Plus offers six monthly packages, from RM30 (Intan) to RM500 (Berlian). Families choose from four takaful operators: Hong Leong MSIG Takaful, Great Eastern Takaful, Takaful Ikhlas Family and Zurich Takaful Malaysia. Coverage of up to RM1.2 million includes critical illness benefits and a hospital admission allowance, and no medical examination is required. Takaful contributions may qualify for separate relief of up to RM7,000 under the life insurance and EPF category. Withdrawals are allowed only after three years, and a minimum balance of RM1,000 must be kept.
7. Matching Grants Help Lower-Income Families
Under the Geran Sepadan matching grant, eligible Prime depositors with a family monthly basic income not exceeding RM4,000 can receive up to RM10,000 per family when their child enrols in a recognised higher education course. Through the Geran Padanan Ihsan (GAPAI) introduced in Budget 2025, families earning above RM4,000 up to RM6,000 a month may apply for up to RM5,000 per family. Conditions apply, so check with PTPTN before relying on either grant.
A Year-End Bonus for Savers
The Simpan SSPN 2026 Draw Campaign runs until 31 December 2026, with prizes worth nearly RM1.4 million for 954 winners. The campaign is also a timely reminder that topping up your SSPN savings before year end also counts towards this year’s tax relief.
For full terms, account services and the latest updates, visit the official PTPTN website or download the myPTPTN app.
